Overall growth was driven by further increases in output and new orders, helped by firms expanding their workforce numbers, enabling them to work through backlogs at a quicker rate.
Rising military production and huge state spending are keeping Russian industry buzzing along, a Reuters analysis of data showed in early April, helping to soften the economic impact of Western sanctions and enabling Moscow to plough on with its military campaign in Ukraine. S&P Global said inflationary pressures had regained momentum during April, with hikes in operating expenses reportedly driven by unfavourable exchange rate movements and greater logistics costs. Russian officials have flagged the weaker rouble as an inflation risk.
"Rates of inflation reached the fastest for a year as firms sought to pass through hikes in supplier prices to customers," S&P Global said.
Expectations for future output rose to the second-highest level for four years. "Optimism was driven by plans for new product development, investment in marketing and hopes of a further uptick in customer demand," S&P Global said. (Reporting by Alexander Marrow; Editing by Hugh Lawson)
